Thailand's new Prime Minister tells Parliament his government will urgently tackle economic woes

Thailand’s economy has slumped after the COVID-19 pandemic all but crippled its lucrative tourism industry

Thailand’s new Prime Minister Srettha Thavisin vowed to act quickly to relieve the country's economic problems in his inaugural speech to Parliament on September 11, following four months of political uncertainty while parliamentarians were unable to agree on a government.

Mr. Srettha entered politics after a career as a major real estate developer, and his government is facing high expectations and pressing demands to address a range of economic, political, social and environmental problems in its four-year term.

Thailand’s economy has slumped after the COVID-19 pandemic all but crippled its lucrative tourism industry. Public debt rose to more than 60% of GDP in 2023, while household debt spiked to over 90% of the GDP this year, he said.

Thailand’s post-pandemic economy is like “a sick person,” with a sluggish recovery that puts the nation “at risk of entering a recession,” Srettha said.

He vowed to quickly take measures to relieve debt problems, mitigate rising energy costs and boost tourism, without going into detail.

He also said the government would work immediately to implement a campaign promise — a 10,000-baht ($280) handout for all Thais 16 and older to stimulate the economy by boosting short-term spending. Details were not given, though he's previously said it would cost up to 560 billion baht ($15.8 billion) and will be ready to deliver by the first quarter of next year.

The promise drew major interest in the election campaign, but critics have questioned whether it would have a sustainable effect.